Section 22 of MSCS Act, 2002 : Section 22: Conversion Of A Co-Operative Society Into A Multi-State Co-Operative Society

Explanation using Example

Imagine a cooperative society named "Green Farmers Co-op" operating within the state of Karnataka, India. The society specializes in organic farming and has members who are farmers from various districts within the state. As the society grows, members from the neighboring state of Tamil Nadu express interest in joining due to the society's reputation for providing good returns and support to its members.

To accommodate these new members and legally extend its operations across state borders, "Green Farmers Co-op" decides to become a multi-State co-operative society. They propose to amend their bye-laws to reflect this change and submit the proposal to the Central Registrar, as required by Section 22 of The Multi-State Co-operative Societies Act, 2002.

After consulting with the Registrars of Co-operative Societies of both Karnataka and Tamil Nadu, and ensuring that the amendment fulfills the requirement of having members from more than one state, the Central Registrar registers the amendment. "Green Farmers Co-op" is then provided with a certificate of registration, confirming their status as a multi-State co-operative society.

Following this, the Registrar of Co-operative Societies in Karnataka issues an order stating that the "Green Farmers Co-op" has ceased to be a society solely under Karnataka's jurisdiction from the date it was registered by the Central Registrar. Now, "Green Farmers Co-op" operates across state lines, serving members in both Karnataka and Tamil Nadu as a legally recognized multi-State co-operative society.